A Congressional briefing, hosted by the U.S. Representative Edolphus Towns, addressed issues related to the lack of human resource in the social work profession. The session was held to discuss on strategies employed by the Action Network for Social Work Education and Research (ANSWER). A meeting was organized to implement Federal plan in order to create a program to support the social workers. If the Federal and State grant program is implemented for students pursing social welfare degrees, then they can seriously think about their career on it.
According to the latest research, the social work students graduating with their master’s degree from a public university is anticipated to incur over $25,000 as student loan debt. Therefore, students are not considering social work as a career option as they don’t get well paid jobs and fail to pay back their owed amounts. These people end up incurring insurmountable amount of debt and crushed under the burden of mounting debt.
Therefore, 2007 College Cost Reduction Act has been revised to Health Care and Education Reconciliation Act. Under this amended Act, the federal student loan borrowers are allowed to enroll in an income-based program that limits the repayment below 15% of their discretionary income.
The social workers, who are providing their services for the Nation, are eligible to apply for student loan forgiveness program. Under this program, the remaining debts will be forgiven after the students make 120 monthly payments without a single default. According to the new policy, the repayment ceiling for new student loans will be lowered by 10% of a borrower’s discretionary income and it will be effective from July 1, 2014.
Know about the Federal educational debt relief programs offered to the social work professionals:
1. National Health Service Corps Loan Repayment Program (NHSC LRP):
Federal debt relief sponsored by the National Health Service Corps offers up to $60,000 in tax-free educational loan repayment awards. These offers are bestowed on people who work with the Secretary of Health and Human Services at least for two years. The U.S. Health Resources and Services Administration provide this financial aid to the students who are associated with this program.
2. Higher Education Reauthorization and Opportunity Act of 2008 (HEA):
This program can be beneficial for the social workers who support the cause for children and families. If you serve for a year then you can get forgiveness up to $2,000 on federal student loans but it is only provided to the HEA participants.
3. National Institute of Health (NIH) Loan Forgiveness for Researchers (LRP):
If you have a doctoral level degree then this program can be beneficial for you. The LRP participants can get up to $35,000 annually as educational loan repayment grant. You are required to dedicate quality time to nonprofit or government-funded research is the only qualification criterion of this grant program. Secondly, you can avail the benefits of this program if your total student loan debt is equal to or exceed 20% of your base salary.
Therefore, these are the three essential ways you can enroll for student loan forgiveness program to attain a debt free life. To know more visit here.